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Coal Mining in India: Percentage, Daily Production, and Key Facts Explained
Coal is the backbone of India’s energy sector. It powers our homes, industries, and trains. From thermal power plants to steel production, coal plays a vital role in India’s development. But have you ever wondered how much coal is mined daily? Or how much of India is covered in coal mines? Let’s dig deep into the facts and figures.
How Much Coal Mining Happens in India?
As of 2025, India has over 300 operational coal mines, primarily managed by Coal India Limited (CIL) — a government-owned company. According to the Ministry of Coal, India contributes around 9% of the world’s coal production, making it the second-largest coal producer globally, after China.
In terms of land usage, it is estimated that around 0.6% of India's total land area is occupied by coal mining zones. While this may not seem large, the environmental and social impact of these zones is significant due to deforestation, displacement, and pollution.
The major coal-producing states in India are:
- Jharkhand (largest producer)
- Odisha
- Chhattisgarh
- West Bengal
- Madhya Pradesh
- Telangana
- Maharashtra
Daily Coal Production in India
India produces coal on a massive scale. According to Coal India Limited, the daily coal production across the country averages between 2.5 to 3 million tonnes.
To break it down:
- Annual coal production: Over 900 million tonnes (FY 2024–25 estimate)
- Monthly average: About 75 million tonnes
- Daily average: 2.5 to 3 million tonnes
This production meets the growing energy demands of a population of over 1.4 billion.
Where Does This Coal Go?
Most of India’s coal — around 70% — is used in thermal power plants to generate electricity. The rest is used in:
- Steel and cement industries
- Railway operations
- Domestic heating in some rural areas
- Coal gasification and conversion to liquid fuels
India still depends heavily on coal despite growing investments in solar and wind energy. More than 50% of India’s electricity is still generated from coal-fired power plants.
Challenges of Coal Mining in India
While coal fuels the economy, it also comes with serious concerns:
- Environmental Impact: Deforestation, loss of biodiversity, and water pollution are common around mining zones.
- Air Pollution: Burning coal releases harmful gases like carbon dioxide, sulfur dioxide, and nitrogen oxides.
- Land Displacement: Tribal and rural communities often face eviction or loss of farmland.
- Safety Issues: Accidents in underground mines still occur, despite technological advancements.
- Import Burden: Despite being a top producer, India still imports premium coal for steel-making, mainly from Australia and Indonesia.
Future of Coal in India
India plans to increase coal production to 1 billion tonnes per year by 2026 to reduce imports and meet internal demand. At the same time, the government is promoting "eco-friendly mining" and clean coal technologies like coal gasification and carbon capture.
In recent years, commercial coal mining has also opened up for private companies to boost competition and efficiency.
Additionally, several closed or abandoned mines are being repurposed for solar farms, showing a shift toward sustainable energy.
Interesting Facts
- Dhanbad in Jharkhand is often called the "Coal Capital of India."
- Coal India Limited is the world’s largest coal-producing company.
- India has over 300 billion tonnes of coal reserves, with more than 150 billion tonnes proven and extractable.
Conclusion
Coal mining in India is not just an industry — it's a lifeline for power, jobs, and infrastructure. With over 2.5 million tonnes extracted daily, India continues to be one of the world's coal giants. However, with global environmental concerns rising, India now stands at a crossroads — continue with coal, or lead the way in green transition?
Either way, coal will remain an important chapter in India’s energy story for years to come.
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